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2 Help Grow Your Business With Microsoft Windows Web Hosting Name Title Organization

3 Tide Is Turning In Favor Of Hosting Providers Shared hosting will grow from $2.6 Billion in 2005 to $3 billion in 2010 Dedicated managed hosting will rise from $1.7 billion in 2005 to $2.5 billion in 2010 Web-based services will grow from $2.9 billion in 2005 to $4.1 billion in 2010 $10.7B spending on SaaS in 2009 IDC ($1.7B Infrastructure Software Opportunity) Online advertising and marketing will increase from $1.3 billion in 2005 to almost $9.3 billion in 2010 Source: IDC Supply Report, Mid-2006 Edition

4 What s Driving Demand Business are connecting online SMB s are staring to get it They understand the power of a rich online presence A static website just wont cut it! Collaboration is increasing in importance BLOGS, WIKI s are becoming a standard Consumers are more actively engaged Web is more and more a part of daily life Web marketing spending is increasing to reach more customers AdCenter, Google, Yahoo, etc.

6 Customers Prefer Windows 62% declare that the Website Environment matters for Hosting Windows is favored 4 to 1 over Linux 12 % Linux 38% No preference 50% Prefer Windows Familiarity, Previous Experience Easy to Use Widely Used OS Preference for Windows Programs Source: Based on a 2006 study conducted by Edge Strategies with end customers in the US and UK

7 What Is Windows Based Hosting (WBH)? The Microsoft Solution for Windows-based Hosting consists of a set of independent components divided into two categories: Infrastructure components Designed to streamline management, administration, and monitoring of the hosting environment and to lower operational costs Hosted services components Managed applications that are deployed on top of the infrastructure component of the Microsoft Solution for Windows-based Hosting version 4.0

16 Summary The hosting market is only getting bigger Functional hosting is expected to play a bigger role SaaS continues to grow Hosters are having success with the Microsoft Windows offers Build functional offers for specific customer segments Microsoft provides the guidance and tools to build offers Leverage WBH to take advantage of these opportunities Get started by going to

17 2005 Microsoft Corporation. All rights reserved. This presentation is for informational purposes only. Microsoft makes no warranties, express or implied, in this summary.

How to make money with Microsoft Hosting? Software + Services will dramatically change our ecosystem, and that s positive, and that s good. Steve Ballmer, December 2006 All our software will become Software

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Roughly one quarter of SBs and one half of MBs plan to shift their budgets to more cloud spending over onpremise spending $ -AMI -50% +28% YoY Reduction in Costs for SMBs moving to IaaS 1 Annual Recurring

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